Strategic Plan for Implementation of

Planting for Food and Jobs (PFJ) Program

Ministry of Food and Agriculture

Engaged in Farming Activities

Portion of rural households 90%

Portion of urban households 22%

Sectoral share of labor forceAgriculture (IncludingForestry & Fisheries)

44.7%Services

40.9%

Industries (14.4%)

Source: Ghana Living Standard Survey-6 (2014)

Some quick facts..

0

0.5

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1.5

2

2.5

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ON

-FA

RM

YIE

LD A

VER

AG

ES (

T/H

A)

Sorghum

Maize

Rice

-2

3

8

13

18

23

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YIE

LDS

OF

TOM

ATO

& O

NIO

N (

T/H

A)

Onion

Tomato

Chillipepper

Green revolution is long over due..

• On-farm productivity of major food crops has stagnated

• Recent increase in production of food crops has largely

come from increase in area under production

Data source: FAOSTAT

6.995.18 5.18

9.12

14.14

19.04

0

5

10

15

20

25

30

Maize Rain fedRice

Sorghum Onion Tomato Chillipepper

Yield potential (t/Ha)

Exploitable on-farm yield gap

Current yield (t/Ha) 19.0

4

6.9

9

5.1

8

5.1

9 9.1

2 14.1

4

Source: Ghana-specific data from www.yieldgap.org/ghana

Yield gaps

Exploitable gap = Difference between actual on-farm average yield and 80% of experimental yield

Technology adoption by farmers can reduce the yield gaps

0

30

60

90

120

150

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

FER

TILI

ZER

CO

NSU

MP

TIO

N

(KG

/HA

)

Fertilizer Subsidy Program introduced

Lower Middle Income Group Countries

Ghana

Sub-Saharan Africa

Fertilizer uptake has fallen back to pre-subsidy program level

Data source: World Bank

Despite a National Fertilizer Subsidy Program; the low fertilizer

uptake partially explains lower on-fam productivity

0

1E+10

2E+10

3E+10

4E+10

5E+10

6E+10

10

15

20

25

30

35

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

GD

P (

CU

RR

EN

T U

S$

)

SH

AR

E O

F A

GR

ICU

LT

UR

E G

DP

(%

)

GDP (Current US$) Agriculture, value added (% of GDP)

Growth is receding in labor-intensive and poverty-elastic Agriculture Sector

90% of farms [smallholder (≤2 Ha) farms] contributes to 80% of Ag-GDP

Where should the government focus its investments on?

Data source: FAOSTAT

PLANTING

for FOOD

and JOBS

Goal:

To contribute to modernization of agriculture sector that will lead to

structural transformation of national economy through food security,

employment opportunities and reduced poverty

Objectives :

i. To ensure immediate and adequate availability of the selected crops in

Ghana through improved productivity and intensification of food crops,

and extended support to private sector service providers

ii. To provide job opportunities for the teeming unemployed youth in the

agriculture and allied sectors, and

PFJ: More Food and More Jobs

Ghana’s vision 2020Coordinated program of economic and social development policies (2014-2020)

envisages a transformed agriculture with forward and backward linkages to the

industrial and services sectors

Ghana’s Shared Growth and Development Agenda II (GSGDA-II; 2014-2017)underscores the importance of improving the productivity of crops and livestock;

accelerating job creation; and enhancing the competitiveness of the sector to

ensure its integration into the domestic and international markets

Medium Term Agriculture Sector Investment Plan (METASIP)The GoG has recently validated the policy matrices for METASIP-I and II, and has

further developed a roadmap for METASIP-III (2018-2021). The PFJ will represent

a flagship program under the METASIP-III

Alignment of PFJ’s objectives

National Context

Regional Context

Comprehensive African Agriculture Development Program (CAADP)

Under Malabo declaration, Ghana’s CAADP Deliverables include provision of

farm inputs, appropriate knowledge, information, and skills to smallholder

farmers and create job opportunities for at least 30% of the youth in

agricultural value chains for inclusive agricultural growth transformation

Economic Community of West African States (ECOWAS)

Regional Agricultural Investment Program (RAIP) – RAIP emphasizes on the

sustainable development of farms through integrated management of soil

fertility, strengthening of support services provided to producers and

dissemination of improved technologies

Alignment of PFJ’s objectives

Sustainable Development Goals (SDG)

Ghana’s SDG targets increased investments on enhancing agricultural productivecapacity through enhanced agricultural research and extension services, technologydevelopment

SDG-2: End hunger, achieve food security and improved nutrition throughpromotion of efficient and sustainable intensification and climate-proofing ofagriculture

SDG-8: Promotion of sustained, inclusive and sustainable economic growth, full andproductive employment and decent work for all – substantially expand employmentopportunities and achieve higher levels of economic productivity through a focus onhigh value added, labor intensive sectors such as agriculture

Global Context Alignment of PFJ’s objectives

PFJ’s Approaches

‘Motivate’ farmers to use input- and output markets and generate

employment opportunities along the value chains

Subsidy as a tool/incentive for motivating farmers

• 50% of the costs of inputs (seed and fertilizers) are subsidized

• Participating farmer pays the remaining half in two instalments: -

o First half as down payment while collecting the inputs

o Second half at the time of harvest

o Farmers who do not pay dues become ineligible to participate in the

PFJ program

• Complementary Services include: -

• Embedded extension services

• Marketing of outputs

Private input- and service providers, traders, processors

Seed

Timely

access to

adequate

quantities

of quality

seeds

Fertilizer

Increased

availability

of

fertilizers

and its

usage

Extension

Services

Reliable

and

routine

technical

assistance

to

experience

the full

benefits

Marketing

Abate

price

volatility

and ensure

repayment

and

linkages

E-

Agriculture

Efficient

targeting

and

improved

governance

of the

outreach

and impact

Ministry of Food and Agriculture, Local Governments

Structural

transformation through

Agriculture

Adequate availability of food crops, Job Creation

Increased productivity through improved adoption of Inputs

Overall design of

the PFJ Strategy

Key role of

private sector:

Spearhead

marketing of

inputs and

outputs

Key role of

public sector:

Facilitation &

Coordination of

stakeholders

Maize, Rice, Sorghum, Soybean, Tomato, Onion and Chilli pepper

Crops are selected based on their potential contribution to: -

• food security

• smallholder farm profitability/income

• supply of raw material for the livestock and industrial sector

• reduction in food import bill

• job creation

• economic activity from various segments along the value chain

-using such tools as ‘decision matrix analyses’ engaging

stakeholders from various administrative regions-

PFJ Value chains

• Willingness to participate: -

o Productive-poor

o Resource-poor

• Smallholders (0.4 - 2 Ha)

• Women farmers (at least 40%)

• national in scope

• covers all the 216 districts in the country

• growers in urban and peri-urban areas

• Subsidies are limited to a maximum of 2 Ha per beneficiary

PFJ – Targeting & Outreach

• Awareness through mass media, local information meetings

• ‘Proven farmers’ who are willing to demonstrate and encourage adoption

by peer farmers and farmer groups

• Collective farming approach

o ‘nucleus farms’ - the primary farm operator provides support in

purchasing the inputs, marketing the outputs and repaying the costs

o ‘registered FBOs’ with common interest in raising farm productivity

and revenues

• Inclusiveness of youth and women (at least 40%) through prioritization of

their participation at all levels

• empowerment through leadership in organizing farmers

• promoting their participation in trading, processing, value addition

and financing

Mobilizing farmers

2017 2018 2019 2020

Eligible districts 216 216 216 216

FBOs 10 650 1,350 2,000

Nucleus farmers 100 1,750 3,400 5,000

Direct Clients 200,000 500,000 1,000,000 1,500,000

Households 202,860 562,400 1,123,500 1,682,000

Crop 2017 2018 2019 2020

Maize 85,000 578,668 907,780 1,182,040

Rice 14000 124,628 198,380 259,840

Sorghum - 118,494 197,490 263,320

Tomato 4,800 27,174 42,090 54,520

Onion 300 4,560 7,400 9,767

Chilli pepper 4,600 10,046 13,678 16,704

Soya bean - 78,750 131,250 175,000

Total 108,700 942,321 1,498,068 1,961,191

Crop cover

(Ha)

Beneficiaries

PFJ – Targeting & Outreach

Public Institutions

Development Partners

Private Sector

Timeline Activities

Throughout Communicate with stakeholders on the details

of the subsidy packages

Populate the e-agriculture platform (list of

targeted beneficiaries, information on input

distribution and extension services)

November/

preceding

year

Details of the subsidies (such as amount, type

of inputs and the list of target entities) made

available

February/

implementing

year

Administrative and logistical operations

(selection of private suppliers, negotiations on

prices, quantity and type of inputs for

distribution) completed

Throughout Secure the quality of the distributed inputs

(fertilizers and seeds)

April-June Annually review of the performance indicators

Timing activities for efficient implementation

Specific Objective: Facilitate market-led production of adequate quantities

of quality (certified) seeds by private enterprises and timely distribution

through public and private outlets to the targeted beneficiaries

Pillar 1: Seed

Crop Maize Rice Sorghum Soya bean Tomato Chilli

pepper

Onion

Seed rate

(Kg/Ha)

OPV, 22.5

Hybrids, 25

50 10 40 0.25 0.25 4

Seed pack

sizes

5 Kg, 10 Kg,

20 Kg

5 Kg, 10 Kg,

20 Kg

5 Kg, 10 Kg 5 Kg, 10 Kg,

20 Kg

50g, 100 g 50g, 100 g 1 Kg

Expected Outputs:

• Increased adoption of certified seeds

• Increased participation of private seed companies • Increased on-farm productivity

Seed Class Crop/

Year

Maize

(OPVs)

Maize

(Hybrids) Rice Sorghum Tomato Onion

Chilli

pepper Soya bean

Certified

Seed

(tons)

2017 1339 638 700 0.0 1.2 1.2 1.2 -

2018 9114 4340 6231 1184.9 6.8 18.2 2.5 3150

2019 17753 8454 12377 2501.5 13.0 37.2 4.0 6650

2020 18617 8865 12992 2633.2 13.6 39.1 4.2 7000

Basic Seed

(tons)

2017 20 - 10 - 0.004 0.008 0.006 -

2018 134 - 92 13.9 0.020 0.125 0.012 231.6

2019 261 - 182 29.4 0.038 0.256 0.020 489.0

2020 274 - 191 31.0 0.040 0.269 0.020 514.7

Breeder

Seed

(Kg)

2017 351.6 - 183.8 - 0.013 0.069 0.034 -

2018 2393.4 - 1636.4 199.1 0.071 1.048 0.073 20.7

2019 4662.1 - 3250.4 420.4 0.137 2.137 0.117 43.7

2020 4889.0 - 3411.8 442.6 0.143 2.246 0.122 45.9

Seed Requirements

Major Activities under the pillar Seed

Seeds selection • Market oriented varieties selected by beneficiaries

• Participatory research

Research on varietal

improvement

• Climate resilient varieties

• Purification of available cultivars

Partners • Local Seed Enterprises

• NASTAG

• Research Institutions (breeder seed production)

• PPRSD: Inspection and Certification

Distribution • Haulage companies with E-way bill system

• Private outlets (public systems during initial stages)

• Mobile seed vans

Complementary

Services

• Extension services on efficient use of seed and

seedlings

• Training for seed producers and seed users

Key performance indicators for activities (intermediate)

under pillar 1. Seed

• Number of improved varieties made available on the market through PFJ

implementation

• Quantity of certified seeds of improved varieties sold

• Proportion of the required quantities of certified seeds required met by

registered farmers

• Number of registered private seed companies supplying certified seeds

• Stock to sale ratio of certified seeds of selected varieties under the PFJ

• Number of hectares planted to certified seeds of improved varieties of

target crops under PFJ

• Number of contractors of certified seeds meeting deadlines for supply

Crop Maize Rice SorghumSoya

beanTomato

Chilli

pepperOnion

NPK (bags/ Ha) 5 5 5 - 5 5 5

Urea or Sulfate

of Ammonia

(bags/ Ha)

2.5 2.5 3 - 2.5 2.5 2.5

Bio-fertilizer - - - 3 - - -

Specific Objective: Motivate farmers on the use of fertilizers by providing

incentives and increased access to timely and adequate fertilizer supply

through private sector participation

Pillar 2: Fertilizer

Expected Outputs:

• Increased adoption of fertilizers

• Increased participation of private seed companies

• Increased on-farm productivity• Increased job creation

MOFA

Distribution

Entities

Farmer

Extension

DepartmentCommunity

Organization

Banks

Input

Dealer

Recommendations for

selection of farmers

E-Voucher

E-Voucher

E-Voucher

E-Voucher

Fertilizer Supplies

Reimbursement

Best Management

Practices

Best Management Practices

Suppliers

Source: AGRA-Ghana Office

Proposed New Subsidy Model

Fertilizer/Year 2017 2018 2019 2020

NPK 27,175 198,119 388,056 407,050

Bio-fertilizer - 11,813 24,938 26,250

Urea or

Sulfate of Ammonia 13,588 110,909 219,043 229,857

Requirements

Major

Activities

Selection of

Fertilizers

• Standard recommendations

• Local blending of micronutrients

Support to

supply chain

• Private fertilizer companies take tender and supply

through agro-dealer network at negotiated prices

• E-way bill system

• E-voucher system

Complementary

Services

• Weights, standards and quality measures

• Extension services on efficient fertilizer use (time

and space) – demonstrations, field days

• Facilitate ‘collective buying’ through FBOs, nucleus

farms

• Provisions for repayment in cash and/or kind through

designated traders

Key performance indicators for activities (intermediate)

under pillar 2. Fertilizers

• Number of registered private entities engaged in fertilizer

imports and distribution

• Quantity of imported fertilizers

• Number of public/private retail outlets for fertilizer

• Average Quantity of fertilizer used per hectare of target crop

• Stock to sale ratio of the fertilizers in retail outlets

• Average payment processing time for fertilizer importers,

transporters and distributors on account of improved ICT

services

Trajectory for ‘graduation’ from subsidy dependence

• Promote availability of superior alternatives (such as hybrid

seeds and other superior varieties) outside the sphere of the

program that could replace those seeds that are promoted

through the program

• Building trust on the quality and standards of inputs

• Providing subsidized inputs in smaller packs (1acre/0.4 Ha)

• Enabling strong private participation in input supply systems

• Gradual reduction in subsidy component

• Exit subsidy once about 30% of the farmers start adopting

certified seeds and fertilizers.

Specific Objective: Augment the outreach and the impacts of the PFJ

program through increased frequency and the quality of extension services

on various technical and non-technical services and markets

Pillar 3: Extension Services

Embedding

Extension

Agents

• Human capacity gap will be addressed by

recruiting 1400 (4,000-2,600) new AEAs

• 858 already recruited

• Training all (existing and new) AEAs

Expected Outputs:

• Incremental adoption of the facilitated inputs

• Increased on-farm productivity

• Improved sustainability in farming• Increased job creation

• Recruit and embed agriculture extension agents in

close proximity to production areas under the PFJ

program

• Mobilize individual farmers and farmer groups

through nucleus farms, farmer based organizations

through awareness creation

• Transfer technologies on efficient input usage, good

agronomic practices, postharvest handling, storage

and marketing through regular and recurrent training

and visits

• Promote e-registration and e-validation of the

beneficiaries and repayment of balance on

subsidized inputs

Major

Activities

Pillar 3: Extension Services

Key performance indicators for activities (intermediate)

under pillar 3. Extension Services

• Changes in Extension Agent/Farmer ratio

• Changes in Number of farmers who have received extension services through the

PFJ program

• Number of farmer groups trained

• Farmers’ satisfaction with extension services

• Proportion of farmers using certified seeds

• Proportion of area under cultivation covered by certified seeds of improved

varieties under the PFJ

• Number of farmers that applied new technical and management practices as result

of agricultural extension services

• Proportion of registered farmers under PFJ using fertilizer for target crops

• Proportion of PFJ registered farmers adopting integrated soil fertility management

techniques

Specific Objective: promote the roles of private sector in trading, storage

and marketing of farm outputs and facilitate forward and backward

linkages between the producers and commodity chain actors

Pillar 4: Marketing of Produce

Crop

Average yield (t/Ha) Expected additional production (tons)

Current Projected 2017 2018 2019 2020

Maize 1.7291 5 281,427 1,915,912 3,732,007 3,913,616

Rice 2.6964 4 18,250 162,465 322,704 338,727

Sorghum 1.141 4 - 338,774 715,190 752,832

Tomato 7.8037 12.5 22,542 127,617 244,367 256,042

Onion 17.1 25 2,370 36,026 73,421 77,161

Chilli

pepper 8.5 15 29,900 65,304 104,642 108,576

Soya bean n/a 5 - 212,625 448,875 472,500

Expected Outputs:

• Translation of higher production to higher real farm incomes • Increased job creation in farm and off-farm sectors

• Engage private aggregators in collecting the farm

outputs and balance payments from the farmers

• Construct new and rehabilitate old warehouses in high

production areas and lease to private operators for

collection, quality enhancement, storage and value

addition of produces

• Establish linkages between farmer groups, private

aggregators and public food procurement programs and

food- and feed enterprises

• Monitor and attenuate volatility in prices of input and

outputs caused by unfair market practices

• Promote job creation opportunities along the input

supply and commodity chains in agriculture and allied

sectors

Major

Activities

Pillar 4: Marketing of Produce

Key performance indicators for activities (intermediate)

under pillar 4. Marketing of Produce

• Proportion of farmers’ output of target crops sold

• Percent share of local produce of selected crops in national food market

• Value of incremental sales (collected at farm-level) attributed to PFJ

implementation

• Value of new private sector investment in the agriculture sector or food chain

leveraged by PFJ implementation

• Number of functional storage warehouses in operational areas as a result of PFJ

• Percent share of local produce in national animal feed markets

• Volume of maize/soybean sourced by Private Enterprises from aggregators, nucleus

farmers and FBOs for animal feed

• Number of marketing agreements between private food aggregators and public food

programs

• Volume of selected grains sourced by public food programs

De-risking price volatility• Facilitate forward contract

agreements between producers and

buyers with appropriate clauses

• Engage NAFCO's role via national

stockpiles and buffer stock facilities

with clearly redefined policies that

will alleviate current challenges

• Promote

o horizontal diversification of PFJ

program into alternative crops

o value addition of the outputs,

o partnerships and joint ventures

with various commodity chain

actors, and

o financial risk management tools

(insurance products, forward

options and futures contracts)

Job creation pathways

Promotion of input use

Expansion of Farming Activities

LaborMarketing of Produce

Services

(Extension, ICT,

Transportation, etc.)

Supply chain

activities

Demand for non-

farm goods & services

importation local

blending local production of certified

seeds

financial services

farm mechanization services

storage services

transportation services

trading/retailing and

distribution services

trading of commodities

processing of raw

materials value

addition

export marketing

public- and private

extension services

rural banking services

e-registration

and data processing services

Value chain activity 2017 2018 2019 2020 Total

Input Supply Chain (Seeds, Fertilizers) 4,536 5,443 6,532 7,838 24,349

Production 471,713 566,056 679,267 815,120 2,532,155

Postharvest handling and processing 378,395 454,074 544,889 653,867 2,031,224

Marketing of Outputs 4,968 5,962 7,154 8,585 26,668

E-Agriculture 3,888 4,666 5,599 6,718 20,871

Total 863,500 1,036,200 1,243,440 1,492,128 4,635,268

Task requiring employment No. of jobs

Seed and fertilizer suppliers

Fertilizer distributed (60,066MT) 12,013

Seeds distributed (3,050MT) 610

Each outlet employs 2 persons (5x2x216) 2,160

Input Distribution by District Assemblies 1,080

Production (Due to the expansion of acreage; 231,126 ha)

Labors (3 extra workers/ha) 3x231,126 persons 693,378

Each tractor will need 2 operators (963x2) 1,926

Post-Harvest- processing

Each machine will need 2operators (5x2x216) 2,160

Marketing- Aggregators 5,400

Warehouse for storage 2,160

Milling services for rice 43,200

Agric Extension Agents (Agric College Graduates) Employed 1,200

National Service (University Graduates) Employed 2,160

E-Agriculture

Registration (3 persons/district) 3x216 648

Data processing (1 person/district) 1x216 216

Total jobs created 768,311

Job creation potential

Specific Objective: to improve targeting, communication and coordination

of the implementation of the PFJ program through appropriate ICT tools

Pillar 5: E-Agriculture

2017 2018 2019 2020

Eligible districts 216 216 216 216

FBOs 10 650 1,350 2,000

Nucleus farmers 100 1,750 3,400 5,000

Direct Clients 200,000 500,000 1000000 1,500,000

Estimated number of households 202,860 562,400 1,123,500 1,682,000

Expected Outputs:

• Improved targeting of beneficiaries

• Improved Communication with beneficiaries• Improved coordination of the program implementation

• Establish a database containing e-profiles of

targeted beneficiaries, private value chain actors

and supporters

• Put in place a ‘supply chain management system’ for

the program to transmit and track the orders and

movement of the inputs and outputs

• Improve communication (including advisory/

emergency responses) and coordination of the

various activities of the program through efficient

ICT tools

Major

Activities

Pillar 5: E-Agriculture

Key performance indicators for activities (intermediate)

under pillar 5. E-Agriculture

• Percentage of number of PFJ beneficiaries registered and validated

through electronic means

• Proportion of private service providers receiving order for goods and

services via ICT system

• Number of e-way bills cleared electronically

• Average payment processing time for seed producers, fertilizer

importers, transporters and distributors

• Frequency and number of ICT based communiques amongst

implementers

Estimated Costs (2017-2020)

Sources of Funding: -• Government’s annual budget allocation

• Leveraging on existing investments from public programs, development

partners and private investors

• Mobilizing bilateral, multilateral and private resources to fill the

remaining gaps

2017 2018 2019 2020Total (2017-

2020) in GH¢

Total (2017-

2020) in USD

Seed 34,392,493 188,720,915 335,152,940 349,796,142 908,062,490 197,404,889

Fertilizer 52,356,575 363,638,203 563,419,288 729,903,525 1,842,504,980 400,544,561

Extension

Services47,016,600 76,908,400 76,908,400 76,908,400 277,741,800 60,378,652

Marketing of

Produce470,120 7,863,240 917,240 917,240 277,741,800 2,210,400

E-Agriculture 4,370,000 6,210,000 10,580,000 15,180,000 28,980,000 6,3000,000

Total in GH¢ 149,832,044 691,422,313 1,059,114,020 1,257,842,381 3,335,031,070 723,538,502

Total in USD 32,572,183 150,309,198 230,242,178 273,443,996 723,538,502

National Technical Committee

(Special Advisor, Technical Advisor, PolicyAdvisor, Directors of DCS, DAES, AESD, PPBD,PPRSD, MED, HRDMD, DAES, YIAP)

Chair: Dep. Minister, Crops (MOFA)

Regional Technical Committee

(Regional Director (MOFA), Regional Economic Planning Officer, Farmers' Representative)

Chair: Regional Minister

District Technical Committee

(MOFA District Director, District Planning officer, Agric-sub-committee Chairman, Farmers Representative)

Chair: M/M/DEC

Coordination of implementation

$

$

$

$

$

Pathways of change through PFJ program

Adequate and timely

supply and usage of

certified seeds

Seed

Private sector led

supply of fertilizers

Fertilizer

Embedded service

provision on technical

knowledge on good

agricultural practices

Extension Services

Linkages between

producers and private

commodity chain

actors

Output Marketing

Deployment of ICT

tools in targeting

beneficiaries and

coordination

E-Agriculture

Increased on-farm productivity and job

creation along the value chains

Input suppliers

Local traders (aggregation)

Farmers

Local Processors

Wholesalers/Industries/Exporters

Food consumers and Brands

Promote profitability and sustainability in

smallholder production

• Increased availability,

accessibility and use of quality

seeds and fertilizers

• Increased access to technical

and non-technical services

• Improved marketability, value

addition

• Efficient targeting,

communication, coordination

Outputs

• Increased on-farm

productivity

• Enhanced proximity services

• Improved storage and

marketing

• Increased job opportunities

Outcomes

Modernization of agriculture sector that will lead to structural transformation

Impact

Thank you